This installment of “Financing College: Where’s the Money?” explores financing college using scholarships and grants, forms of financial aid paid for through state, federal and other programs, which do not require repayment by the college student.

The Education Department said Monday will begin identifying students who burned through federal Pell grants to pay for colleges that closed before they could graduate, with the goal of restoring eligibility for thousands of people.

You've known all along that you'd need to come up with a lot of money to send your child off to college. But only in the midst of your kid's senior year—when you open colleges' financial aid notices—does the harsh reality typically hit, says James C. Lundgren II, an independent college adviser in Encinitas, Calif. "The light bulbs are coming on right about now," he says.

In February, when most of the commonwealth's residents were stymied by the record snowfall, more than 150 college and university students made their way to Beacon Hill to personally advocate for continued funding of need-based financial aid.

The increase in tuition will go toward bolstering the Office of Career Advancement, undergraduate summer internships, research, leadership and civic engagement programs, academic mentoring and advising. NU’s financial aid will increase by 6 percent for next year, as the University will give out more than $160 million in scholarships and grants. For the 2005-2006 school year, NU gave out $79 million in financial aid. NU will also increase the number of students who receive Pell grants and provide aid for students from middle-income families. The University provides financial aid to about half of undergraduates.

College aid formulas expect parents to contribute up to 47% of their after-tax income to college costs each year. Will your income throw your child out of the running for college aid? Use my EFC Quick Reference Table to estimate your aid eligibility. Don't take someone's word on aid eligibility just because their situation may appear similar to yours.

Berea College, a liberal arts college located in Kentucky, has a massive $1 billion endowment. But unlike other private liberal arts colleges with whopping endowments, Berea has accumulated its endowment all while offering four-year degrees to students tuition-free.